JAKARTA - BPH Migas, Indonesian Downstream Oil and Gas Regulatory Agency, has decided to allocate PT AKR Corporindo Tbk (“AKRA”), Indonesia’s largest private sector distributor of petroleum and basic chemicals and provider of logistic services and supply chain solutions, with the rights to distribute subsidized fuel for 2016 year. AKRA is the only private sector player which has been granted such allocation. 

 

BPH Migas Chief Mr. Andy N. Sommeng during the interview with Jakarta Post said the process of appointing AKRA and Pertamina was conducted through a committee meeting. “After going through a selection process conducted from March 2015 until August 2015 we have set out the results that Pertamina and AKR have been selected to distribute subsidized fuel” said Andy. 

 

For 2016, the allocation has been made only to distribute diesel and kerosene since gasoline is no longer subsidized. The total allocation for 2016 is 16,7 million KL which consists of 16 million KL of diesel and 0.7 million KL of kerosene (vs 17.9 million KL this year – 17 million KL diesel & 0.9 million KL kerosene). AKRA and Pertamina are the only 2 companies which have been appointed by BPH Migas to distribute subsidized fuel.

 

Out of the 23 companies that were invited by BPH Migas to participate in the selection process, AKRA is the only private sector player which has been granted such allocation due to its extensive infrastructure network located across Indonesia. BPH Migas considers infrastructure as the most important factor in deciding the allocation.

 

For the 2016 year, AKRA has been allocated 300.000 KL as per the Government Decree and remainder out of the total allocation allotted to Pertamina. 

 

 

Investor Relations

PT AKR Corporindo Tbk